U.S. Officials Warn Canada Could “Regret” Letting Chinese EVs Into Its Market
By: Ebenezer Adu-Gyamfi / Emmanuel Ayiku for GhanaianNewsCanada 17/1/2026
Senior members of the U.S. administration have publicly criticized Canada’s recent decision to allow Chinese electric vehicles into the Canadian market, saying the move could backfire on Ottawa and strain North American trade relationships.
Officials pointed to a new trade arrangement under which Canada will permit up to 49,000 Chinese-made EVs to enter at sharply reduced tariffs a major reversal from the 100 % import duties Canada had imposed on such vehicles in 2024.
At a public event in Ohio, U.S. Transportation Secretary Sean Duffy warned that Canada might “look back at this decision and surely regret it,” stressing concerns that Chinese electric cars could gain a foothold that could have broader economic and strategic consequences. He also noted that these vehicles would not be permitted into the U.S. market under current regulations.
U.S. Trade Representative Jamieson Greer echoed those sentiments, calling Canada’s policy “problematic.” However, he also said the relatively small quota of vehicles was unlikely to disrupt American car exports to Canada.
The criticism comes as Canada and China recently struck a deal lowering tariffs on both electric vehicles and agricultural goods like canola a move aimed at resetting bilateral trade ties and diversifying Canada’s economic relationships amid broader geopolitical tensions.
While U.S. concerns center on potential market disruption and broader geopolitical competition, Canadian officials have defended their approach as pragmatic diplomacy and a way to strengthen economic ties beyond their traditional reliance on the U.S. market.
